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WEB SITE HISTORY WALL
September 2010
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ABDOOLALLY EBRAHIM
HISTORY
1841, Seth Ebrahim Noordin, a man who survived a shipwreck and
arrived in India on a bale of cotton, came ashore Hong Kong with the British
East India Company just a few months after the British landed. Within a
mere year, he set up Abdoolally, Ebrahim to trade cotton, silk and tea, and
founded Hong Kong’s first ever cross-harbour ferry services. In 1951
Abdoolally, Ebrahim was changed from a partnership to a limited company
that went by the name of Abdoolally Ebrahim & Co (HK) Ltd, now the
principal subsidiary of the Abdoolally Ebrahim Group (AEG).
While most of the Indian firms established in those early days no longer
exist, AEG not only survived the wars and numerous disturbances that have
rocked Hong Kong, it out-lasted recessions and external trade embargoes.
As the ex-colony grew from a ‘barren island’ to one of the largest commercial
centres of the world, the group shared its fortune and rose into a prosperous
international corporation with subsidiaries dealing in a wide variety of
businesses. Today, run by the family’s 5th generation descendant as a
newly restructured corporate entity, AEG is not only one of the oldest trading
houses of Hong Kong, it is HSBC’s oldest surviving client.
We invite you to learn about our rich history. We are proud of our
accomplishments and things that make us unique throughout the years,
including our heritage, our faith, our emphasis on integrity and innovations,
our community involvement and our willingness to move with the times.
Inspired by our history and a vision to being a better group, we look forward
to a strong future filled with new historical milestones.
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1842
AEG’s founder Seth Ebrahim was the builder of the Ebrahim
family’s legacy. His commercial ventures were international and
paved with success. Seth Ebrahim survived a shipwreck and came
ashore India on a bale of cotton and later founded a trading firm in
Mumbai. In 1841 he came to Hong Kong with the British East India
Company, a few months after the British landing. The following
year,with his brother-in-law, he established a Hong Kong branch for
his firm, Abdoolally, Ebrahim, which is now one of oldest trading
houses in the territory.
1842
Syedna Abdulqadir Najmuddin A.Q., is the 47th Dai-ul-Multaq of the
Dawoodi Bohra Community. It was under his guidance that the
group was established in Hong Kong in 1842. His seat (bethaq)
was held at the group’s then head office in Mumbai and it was from
here that he sent Seth Ebrahim to seek his fortune in the Far East.
Passionate about his faith, founder Seth Ebrahim was a member of
the Dawoodi Bohras, a trading community of Muslim denomination.
The word Bohra itself is derived from the Gujarati word Vehwahar,
which is interpreted as "trading". Primarily a business community,
Dawoodi Bohras strongly encourage its members to pursue trade
peacefully and independently within the framework of Islamic law
and strictly abiding by the laws of the country in which they all trade.
Seth Ebrahim not only practiced this belief religiously, he handed
his faith down to all his sons and descendants, generation after
generation.
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1842
When Seth Ebrahim Noordin founded Abdoolally, Ebrahim
in 1842, just a year after Hong Kong was ceded to the
British in 1841, the ex-colony was merely ‘a barren island
with hardly a house upon it’ according to the words of Lord
Palmerston.
1842
AEG’s textile and commodities business commenced with
trading in tea, cotton and silk. Today, textile and
commodities remain one of the group’s major trading
divisions.
1842
The group first introduced cross-harbour ferry services in
Hong Kong between Tsim Sha Tsui and Central in 1842.
This service was a forerunner to the Star Ferry Co. which
was incorporated in 1898.
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1842
Branch offices opened in Shanghai and Canton.
1864
As per notification in Hong Kong Government Gazette, the
group was given compensation by the British government for
the confiscation of its cargo in Canton some 25 years earlier.
1865
On 13 March 1865, the group opened a current account at
the Hong Kong and Shanghai Banking Corporation (HSBC)
with an initial deposit of HK$14,800 ten days after HSBC was
incorporated. Today, AEG remains HSBC’s oldest surviving
client
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1886
1886, Seth Ebrahim built Najam Baug in Mumbai, a centre for
the Dawoodi Bohra community. After the turn of the Millenium,
the descendants of Seth Ebrahim rebuilt Najam Baug to its
new glory.
1892
Seth Ebrahim built Zainee Masjid in Mumbai – also known
as Market ni Masjid. Seth Ebrahim was buried outside this
Masjid.
1906
The group purchased land in Honam, Guangzhou, and the
title deeds are still in existence. The premises were mainly
used for collection of raw silk supplies from the southern
region and in time it became a ‘security house’ for the raw
silk merchants of Guangzhou.
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1906
One of the two sons of Seth Ebrahim, Seth Noordin was
made in charge of the Mumbai office in 1906. He was also
the founding director of the Bank of India Ltd.
1907
The Cotton yarn crisis became almost unassailable, with prices
falling over 20 percent. The group was on the verge of bankruptcy.
It settled with all 123 creditors except one who petitioned the High
Court of Bombay to make the company insolvent. In his
judgement Honourable Justice Davar wrote:
“ …Here are insolvents who have parted with everything they had.
They have impoverished all the members of their family. They
have no capital to trade with. In all human probability all the four
insolvents with all their exertions would never be able to earn
anything like the large sum of over eight lacs of rupees necessary
to pay four annas in the rupee of their debts, during their lifetime,
and it would be not only a cruel order but in their case an unjust
order to make.”
Even today the group believes it should honour all commitments.
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1908
Between 1908 to 1928, the group held the exclusive
distribution rights of Butterfield and Swire’s Taikoo sugar for
the Colombo market. The contract shown made in 1908 is one
of the many examples currently kept in the group’s safe.
1920
20 Stanley Street was acquired for HK$41,200, which has been
the group’s Hong Kong headquarter ever since. The building
was rebuilt twice later. The second, third and fourth decades of
this century were times of steady progress for the company,
and were only marginally interrupted by the First World War,
which had little impact on the Far East.
1935
The firm communicated with its head office in Mumbai and
Shanghai branches using a code book. This is an original page.
Today all pages of the code book are kept inside the group’s
archives.
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1938
Seth Ebrahim sent his brother-in-law Abdoolally to establish a
branch in Shanghai In 1842. The office was located on The
Bund, the business centre and tourist destination of Shanghai.
Business was thriving in this office before World War Two.The
founder’s grandson Abdeally was managing this office at that
time and is seated in the centre of this picture.
1938
Protector of the family’s legacy, Mulla Abdeally gained control of
the group in 1965 after undergoing many many difficult years. He
ran the Shanghai office before World War Two.
1940
In 1940, the group became a founder member of the Hong Kong
General Chamber of Commerce.
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1942
During the World War II, an HSBC short wave radio was stored at
Abdoolally House, so that their staff could listen to the news
transmitted from Canton via the BBC.
Besides this, the group also lent money to HSBC in Hong Kong,
apparently to help them finance food and medical supplies to alleviate
British and friendly nationals in hospitals and internment camps.
A promissory note, written by HSBC officer Mr. Foy, was swallowed
by a member of our staff for protection when the Japanese
gendarmes raided Abdoolally House.
1945
As shown in the first of a three pages letter sent from the Hong
Kong branch office to the Mumbai head office, business soon
resumed after the end of World War II.
1946
Shaikh Jaffer was posted to the Hong Kong office in September
1946. Passionate about accounts, he aided the group in its financial
affairs, but his greatest business attribute by far was his vision. Not
only was he responsible for starting the housewares division in 1961,
he also initiated the shipping business in 1978,and he finally
acquired the shares of his four brothers in 1988, with the remarkable
feat of keeping within Islamic principles to arrange an interest free
loan. He opened an Asean branch office in 1989, followed by the
Pakistan branch office in 1995. A dedicated entrepreneur through
and through, at the age of 75, he spearheaded a brand new
commodities venture of iron ore trading. He anticipated every need
of the group and delivered benevolence to everyone around him
both in business and his personal life.
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1949
The Shanghai office on the Bund was forced to close at
the time of the Cultural Revolution. The group was only
permitted to take a typewriter from the office out of China.
This office was later re-opened in 2004.
1951
In October, over 2,000 bales of cotton were sold to Japan
via a 50/50 joint venture with P.B. Dhaber’s office in Japan.
The cotton bales were meant to be sold to China, but the
government put a ban on it.
1951
A Certificate of Incorporation was issued by the Registrar
of Companies on August 13th. The partnership, Abdoolally,
Ebrahim, was replaced by a limited company Abdoolally
Ebrahim & Co (HK) Ltd.
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1952
The rebuilding of the five-storey Abdoolally House, damaged in
World War II, began. The building’s windows were torn down as
people used the frame as firewood for cooking. During the
reconstruction a silver Chinese dollar, a half Australian sovereign,
two English and two Chinese papers of the day, sugar, candy
and coconut were sealed in the foundations. The group used the
first floor of the new building as its office, store room and staff
quarters. In the aftermath of the war the mainstay of the
business was the export of sundry goods, such as torches and
green beans, and the principal import was cotton and cotton yarn.
1952
Abdoolally Ebrahim & Co., (HK) Ltd was elected a member of
the Indian Chamber of Commerce Hong Kong.
1953
Due to the Korean War, there was severe depression and the
group lost 30% in value on all of its stocks. The only active
business then was Cowbezoar, a very precious item from the
body of a cow or an ox used in Chinese herbal medicines.
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1953
A deal was made with HSBC, who approached the group to
help them sell a consignment of 101 bales of cotton they had
kept for a year.
1953
The group made a deal with Wah Shing Weaving Mill and Ms
Kow Yue Weaving Factory to finance them for equipment
supply to the governments of Malaysia and Thailand.
1954
The group imported groundnut oil from South Africa.
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1954
The group worked again with Wah Shing Weaving Mills to
supply 120,000 uniforms to the Malaysian Government.
1955
Abdoolally Ebrahim and Company (H.K.) Limited
was elected a member of the Hong Kong
Exporters’ Association.
14
1955
The group began trading in Indian beef, importing the
beef to Hong Kong for export to Macau.
1957
The group began importing camphor powder from the UK
to supply a Hong Kong camphor tablet manufacturer. The
business was brought to a standstill as the manufacturer’s
main market, Ceylon, collapsed following a ban of the
tablets.
1960
Torches and batteries became a major trading item for
the group. Sales to United States were established
through Astra Hong Kong Trading Corporation.
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1961
The housewares division began with the export of stainless
steel hollowware and cutlery. Today housewares remains one
of the group’s major business division.
1961
Cassia was a product the group dealt in for many years, from
1961 - 1995. In the early years the trade was mainly to
Chittagong.
1961
Shaikh Jaffer was appointed Managing Director of Abdoolally
Ebrahim and Company (HK) Limited. The same year, turnover
broke all previous records, exceeding HK$6.25 million. Cotton
yarn alone brought in 55 percent of the total turnover.
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1962
The group invested in a cutlery factory, Foo Kwong Cutlery Metal
Works Ltd, and ran that till 1978. It was one of the three factories
manufacturing cutlery in Hong Kong during that time.
1963
20 Stanley Street commenced re-development for a second time,
transforming the five-storey, 6872 sq ft building to the current 12storey 24, 650 sq ft office tower. The new Abdoolally House was
completed in 1966.
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1964
The company purchased a property at No. 24 Belcher
Street as accommodation for their Chinese staff.
1964
For the first time the firm imported cotton fabrics from the
Indian subcontinent.
1965
The company extended its activities in re-exporting finished
textile and cotton gauze sheetings from Pakistan to
Australia and New Zealand.
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1965
Under the benediction of Dr. Syedna Taher Saifuddin
(T.U.S.), the 51st Dai-ul-Mutlaq, the Abdeally Noordin
family became the only shareholders of the group.
1965
Mulla Abdeally Noordin and his five sons, who owned
450 shares in Abdoolally Ebrahim & Company (HK)
Limited, bought the entire holding of 1,008 shares from
the Essabboy Ebrahim family.
1966
A deal was completed with the Government of
Ceylon for the sale of a shipload of 2,500 tons of
wheat flour, the first of this magnitude, followed by
9,000 tons.
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1968
Michael Raymond, representing Waltham Electronics Ltd, placed
a single order of 100,000 sets of transistor radios with a value of
HK$3,000,000. Michael became a life-long friend of the group.
1968
To meet the huge demand from the United States of America,
the group took interest in a wig factory via a new company De
Bute Tress. Relvon wanted to purchase the company’s products
indicating monthly requirements of 250,000 pieces. This
resulted in the group investing in three industrial floors on How
Ming Street, Kwun Tong, measuring 54,000 sq, ft.
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1969
The group started a gem division on the 11th floor of the
Abdoolally house to import diamonds in partnership with
Yahya Jhaveri of YZ Fazlehusen, Bombay.
1970
The group designed a 5-piece stainless steel Georgian
tea set and sold 30,000 sets per month to Ensee Ltd, in
the United Kingdom.
1970
The Ebrahim Family celebrating Diwali.
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1971
Mulla Abdeally made a visit to Hong Kong on his 91st
birthday. To mark the occasion, the group donated the
HK$20,000 “Abdoolally Ebrahim & Company (HK) Ltd”
scholarship to the University of Hong Kong for the annual
benefit of an economics student. This scholarship is still in
existence today.
1972
For the first time the group exhibited in the Cologne
Housewares Fair and Frankfurt International Spring Fair.
The group has exhibited in Frankfurt every year since.
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1972
Scene from Hong Kong headquarter in 1972.
1972
Branch office opened in London and is since closed.
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1973
In April, Green Shield Trading Stamp Company Ltd, United
Kingdom – re-branded Argos in July of the same year – appointed
the group as a regional buying office for three years. Pentland
Products Ltd was established in the United Kingdom as a 50%
subsidiary of the group to further service this business. By 1982 the
balance of the shares in Pentland was acquired.
1977
The group entered into a financing deal through Martime Shipping
Agencies Ltd to support port labourers from India to Sharjah
(United Arab Emirates).
1978
Ikhlas Steamship Company Limited was established in 1977. In
1978, the group bought the 1968-built tween-decker, Shinpozan
Maru, for US$550,000, to start a liner service from Bombay to
Hodeidah in the Red Sea. The ship was renamed Rizcun Hasanun
2024 DWT. It was the start of the group’s ship- owning business,
which continued till November 2006.
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1979
The group purchased its second ship, MV Rizcun Hong
Kong 15,000 DWT, for US$5,200,000.
1980
On 22 September, the new shipping venture was seriously
threatened. During the Iran-Iraq war the group’s precious
vessel MV Rizcun Hong Kong, was restrained and prevented
from sailing out of Koralzubair by the Iraqi authorities. It was
laid up for eight years until Iraqi government released her.
1981
Branch office opened in Jeddah and is since closed.
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1982
Branch office opened in Dallas and is since closed.
1983
Orient Ship Management was formed to provide crewing and technical services.
1984
A 50/50 partnership agreement was concluded with Wong Hang and a new company,
Abdoolally Eastrex Ltd, was established to strengthen contacts in China. The first deal
was to sell 20,000 Gold Star colour television sets from Korea to China.
1985
Seeing Asian scrap values were considerably higher than those in Europe, the group
entered into trading of scrap vessels. The first vessel – laid up in Europe with cargo to
demolition areas in Asia - the firm purchased “ St Nicholas,” which was later renamed
“Santa Claus”. When Lloyds underwriters were asked to insure her, they never replied
thinking it was a joke!
1986
Orient Ship Management Ltd was sold and replaced by United Ship Management. The
subsidiary was entrusted with technical management, maintenance and repair of the
group’s growing number of vessels.
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1986
For the first time, the group started exhibiting at trade fairs in Japan.
After more than 20 years, the group still trades with its first clients
from Japan.
1986
The group sold water squirters to iconic Japanese brand Sanrio.
1987
The group was awarded with a Silver Frying Pan Trophy from
one of its suppliers, for the sale of one million pieces of Teflon
II aluminum frying pans to Japan. During 1982-1989 the firm
enjoyed up to 20% of non-stick cookware market share in
Japan.
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1987
The group started sales of the movie viewer and obtained
licenses for various blockbusters in children’s animation, leading
to eventual sales exceeding one million pieces. In 1991, the
group licensed the English Premiere League giants,
Manchester United, Arsenal, Liverpool, Everton and Tottenham
Hotspurs for the movie viewer.
1988
Abdoolally Ebrahim Company (HK) Limited suffered another split.
At the time the major shareholders were five brothers in the
Abdeally Noordin family, including Shaikh Jaffer, the chairman at
the time. The four brothers offered to buy out the chairman.
Shaikh Jaffer was able to arrange an interest free loan in
complete accord with Islamic principles and acquired the
company on 12 August.
1988
Under the benediction of Dr. Syedna Mohammed
Burhanuddin (T.U.S), the current spiritual leader and the 52nd
Dai-uI-Mutlaq of the Dawoodi Bohra community, Shaikh
Jaffer became the only shareholder of the group. It is under
his benevolence and guidance that the company continues to
prosper.
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1988
Taha Ebrahim was appointed director of the housewares division.
Housewares was re-established as a consumer product division
with four departments listing over 25,000 items of household
goods, hardware and giftware. Four distinct market niches were
regularly serviced: own-label distributors, manufacturers,
importers and mail order.
1988
The group delivered over 50 million bamboo leaves to Japan
from China in reefer containers for the Japanese hospitality
industry.
1988
The group took part in the Toy Fair in Hong Kong for the
first time. It was an important venue to build sales for the
Movie Viewer.
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1989
Paradise Chopper was a new design created for chopping
onions and vegetables. The sales were particularly successful
in the Middle East.
1989
The group supplied numerous emergency lanterns from
China into Egypt and Asean countries between 1989 to
1994. They were mainly sold in the countryside, where
there was a power shortage problem.
1990
Asarwa Mills appointed the group as their exclusive distributor
for its Tulip cotton brand for the Hong Kong market. The
company has imported many brands of cotton yarn on an
exclusive basis in the past and in the present day.
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1990
Between 1990 to 1993, the group sourced palm oil from Malaysia
and exported it within Asean countries for the direct consumption
in cooking by the local population.
1990
Between 1990 to 1995, the group traded in cloves used mainly for
cooking.
1990
The group imported polypropylene to supply factories mainly
producing PP bags.
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1990
The group exported pulses from Asean and China. The group was
ranked one of the top 10 exporters in Asean in 2000, and one of
the top 5 exporters in 2008.
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1990
Between 1990 and 1996, the group was involved extensively in
the timber trade, especially teak and gurjan, transporting
shiploads from West Africa and Asean to India.
1991
Between 1991 and 1993, the group continued to supply to Egypt
many household appliances, including kitchenware, electric irons,
sewing machines, rechargeable lanterns, and ceiling fans.
Business was thriving, with the company delivering over 50
containers per month.
1991
Between 1991 – 1995, the group exported Niger seeds from
Asean to Europe and the United States of America. Used as bird
feed in the West, this product was unknown in the local market in
Asean. Interestingly, pulses consumed by people in the Indian
Subcontinent were being sold at a quarter of the price of these
bird feeds.
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1991
The group started working regularly with the Conti Group - later
acquired by ADM – to offer freight services to move 500,000 tons
of rice per year from Asian ports to African ports. The service
lasted 8 years.
1992
The group celebrated its 150th Anniversary. To commemorate the
event it created gold and silver coins bearing the newly adopted
motto, “Our Word is Our Bond”, which was given away as gifts to
all our business associates to mark the occasion. Made of solid
silver with rich red enamel, the coin measured 52 mm in diameter
and weighed 72 gram. Historically, the figures 52 and 72 are of
special significance to the Dawoodi Bohra community.
1992
The late chairman Shaikh Jaffer and wife Nematullah at the 150th
Anniversary celebration.
1992
The group imported GI plain and corrugated sheets for roof
construction in both commercial and residential buildings.
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1993
The group supplied its first order of steel bars imported from
India.
1994
The group invested in a joint venture: Videosnap. Marketed in the
United Arab Emirates, it was a campaign ahead of its time.
35
1995
The group began campaigning for corporate social responsibility,
which lead to the late Managing Director Shaikh Jaffer joining the
“Clean Beaches” initiative.
1995
Branch office opened in Karachi
36
1996
The group started product design as a separate discipline within
the housewares division. This then led to the opening of a new
design studio in 2005.
1996
The group imported sugar into Asean countries, marking the
first time ever a shipload of sugar was imported into the
particular region. Curiously, as our vessel arrived, an export
cargo filled with sugar supply from the Government was just
about to set sail.
1997
Dr. Syedna Mohammed Burhanuddin (T.U.S.) honoured the group
by visiting during his stay in Hong Kong, where he was a guest at
the residence of the firm’s then Chairman Shaikh Jaffer A. Ebrahim.
This picture most memorably depicts six generations of the family.
37
2000
The group exhibited at the Chicago Housewares Show for
the first time. Each concurrent year after, the group gained
important new contacts for trade with North America.
2001
The housewares division developed the first ODM kitchen
range, Elypto.
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2002
Leveraging the group’s shipping expertise, Shaikh Jaffer, at the
age of 75, led the group into a new venture in iron ore trading
from India to China. By 2007 the group was shipping over
800,000 metric tons of iron ore annually.
2004
Branch office was opened in Shanghai.
2005
The business was corporatized and renamed Abdoolally Ebrahim
Group, transforming the former company from a family-business
culture to that of a contemporary corporation. Steered by the 5th
generation leader of the company Taha Ebrahim, this marks the
first step of a major internal re-organization, that is set to lay a
solid foundation for future growth.
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2005
Branch office was opened in Mumbai
2006
November 2006, the group sold the last ship in its fleet. Since
1978, the group has bought and sold close to 50 ships.
40
2006
Branch office was opened in Shenzhen
2006
AEG developed and distributed the world’s most compact food
chopper.
2006
As part of an effort to bring better working environments to the
group’s team members and to renew the brand image of AEG,
Abdoolally House underwent extensive renovation and
expanded usage of space from three to five floors.
41
2007
The group re-organized senior management structures to include
one Group CEO, three CEOs to each of the commodities, textiles
and housewares divisions, one CFO, plus a group HR & Admin
manager. Taha Ebrahim became the Group CEO from 1st January,
2008.
2007
In Range, a line of cookware conceived in collaboration with
Dexam UK and designed by AEG designers, won both the
Excellence in Cookware and the Cutting Edge awards at the
Excellence in Housewares Awards in October 2007. It was the only
cookware collection that combines the different materials best
suited to different cooking methods in one, coordinated range.
42
2008
The iron ore market hit a major crisis with prices falling by
50%, AEG survived intact due to its cautious business
practice.
2008
HSBC made a video for promotional use showcasing
Abdoolally as its oldest surviving client in the world.
43
2008
Branch office was opened in Dalian
2008
The housewares division regularly participated at the Hong
Kong Housewares Fair.
2008
Values are considered a living element and evolving foundation
behind every business decision. In summer 2008, Group CEO
Taha Ebrahim led an off-site workshop with the management
team to analyze, uncover and develop the group’s core values
which later led to the workshop in March 2009 with many team
members from around the world.
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2009
Branch office was opened in Goa
2009
As part of an effort to corporatize the organization, a policy
and practice handbook and a five-year plan was completed to
guide the group through its growth for the next five years.
2009
Branch office was opened in Vancouver
45
2010
Core competencies are extremely important success factors for all
corporate companies. Over workshops held in 2009 and 2010,
AEG developed 8 leadership competencies which was cascaded in
the group.
2010
Branch office was opened in Delhi
2010
‘Brand Me’ was registered as a vehicle to capitalize on our
Imagineering Department and to lift ODM (Original Design
Manufacturing) sales in the housewares division.
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2010
A processing plant for pulses and beans was opened in Malaysia.
2010
The group’s first ever ex-mine iron-ore cargo was loaded onto MV
Fleet Phoenix. It marks the start of a growth in origination business
in metals and minerals trading.
2010
Celebrating the 25th anniversary for its Housewares Fair, Hong
Kong Trade Development Council (HKTDC) awarded AEG the
Loyalty Award in recognition for its 20 consecutive years of
participation at the fair.
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